Is Workers’ Compensation Coverage Required?

For-profit athletic leagues/teams/businesses

For-profit athletic leagues/teams/businesses are required to carry a New York State workers' compensation insurance policy if they have any individuals working in New York State. This includes individuals playing any games, recruiting, scouting or any other activity for the athletic leagues/teams/businesses. This also includes any individuals that are "volunteering" their services.

Nonprofit athletic leagues/teams/businesses

Athletes

Athletes involved in supervised amateur athletic activities operated on a nonprofit basis are not required to be covered by NYS workers' compensation insurance, provided that such athletes are not otherwise engaged or employed by any person, firm, or corporation participating in such athletic activity (WCL §3 Group 18). This includes Division 1 athletes that play for nonprofit colleges and universities even though they are receiving scholarships, room and board.

Coaches and Other Staff

Nonprofit youth leagues/teams that are NOT classified as religious, charitable or educational (Section 501(c)(3) under the IRS tax code) and are compensating coaches, trainers, referees, concession stand staff or any other individuals are required to carry a New York State workers' compensation insurance policy to cover the compensated coaches, trainers, referees, concession stand staff or other individuals working for the league.

Nonprofit youth leagues/teams that ARE classified as religious, charitable or educational (Section 501(c)(3) under the IRS tax code) and are compensating trainers, referees, concession stand staff are required to carry a New York State workers' compensation insurance policy. Note: (Workers' compensation insurance is NOT required IF only coaches are compensated by religious, charitable or educational nonprofit youth leagues/teams, since coaches are considered teachers and, as such, are not required to be covered by NY workers' compensation insurance. However such 501(c)(3) nonprofits are encouraged to obtain a voluntary workers' compensation insurance policy to protect both the employer and the coaches.